Split Initial / Renewal Bonds
Brokers: $90K initial, $45K–$135K renewal. Lenders: $200K initial, $100K–$300K renewal. Servicers: $200K flat. Combination licensees carry one bond at the highest required amount.
TN Dept. Financial InstitutionsTCA § 45-13-204Same-Day Issuance
Tennessee Mortgage Broker Surety Bond
Secure your Tennessee mortgage broker, lender, or servicer license with a surety bond from Surety One, Inc. — the nationwide leader in mortgage industry surety bonds. Broker bonds from $45,000, lender/servicer bonds from $100,000. Premiums individually determined by credit and financial review.
TN Mortgage Broker / Lender / Servicer Bond
$45K – $300K
By license type & TN volume • Covers all MLOs • Premium based on credit
Broker (initial)$90,000
Lender/Servicer (initial)$200,000
Broker (renewal range)$45,000 – $135,000
Lender (renewal range)$100,000 – $300,000
ObligeeTN TDFI
TurnaroundSame Day
Get Your Free Quote
Understanding Your Bond
What Is a Tennessee Mortgage Broker Surety Bond?
A Tennessee mortgage broker surety bond is a three-party agreement required by the Tennessee Department of Financial Institutions (TDFI) as a condition of licensure under the Tennessee Residential Lending, Brokerage, and Servicing Act, codified at TCA Title 45, Chapter 13. Specifically, TCA § 45-13-204 sets the bond requirements, with detailed renewal provisions in Tenn. Comp. R. & Regs. 0180-17-.08.
Tennessee uses a split initial/renewal bond structure. New applicants pay fixed initial amounts ($90,000 brokers, $200,000 lenders/servicers), while renewals adjust based on Tennessee loan origination volume from the preceding calendar year. The bond provides coverage for each mortgage loan originator sponsored by the licensee.
Tennessee is notable for its 24-month post-termination tail — the bond must be maintained for not less than two years after license expiration, revocation, suspension, or surrender. Combination licensees (broker + lender and/or servicer) need only one bond at the highest required amount.
The Three Parties
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PrincipalThe mortgage broker, lender, or servicer who purchases the bond and must comply with the Tennessee Residential Lending, Brokerage, and Servicing Act.
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ObligeeThe State of Tennessee, through the Commissioner of Financial Institutions — the regulator requiring the bond for consumer protection.
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SuretySurety One, Inc. — the company that underwrites and issues the bond, guaranteeing the principal's compliance with Tennessee licensing law.
Combination Licensees: One Bond
If you hold a combination of mortgage lender, mortgage loan broker, and/or mortgage loan servicer licenses, you only need one surety bond at the highest amount required as if you held each license separately. This prevents duplication and simplifies compliance for multi-activity companies.
Bond Amount Schedule
Tennessee Mortgage Bond Amounts — Initial & Renewal
Initial bond amounts are fixed by statute. Renewal amounts adjust based on TN residential mortgage loan volume originated in the preceding calendar year per Tenn. Comp. R. & Regs. 0180-17-.08.
Initial Application (First Calendar Year)
| License Type | Initial Bond Amount |
|---|---|
| Mortgage Loan Broker | $90,000 |
| Mortgage Lender | $200,000 |
| Mortgage Loan Servicer | $200,000 |
| Combination (Broker + Lender/Servicer) | $200,000 (highest required) |
Renewal — Mortgage Loan Broker
| TN Loan Origination Volume (Prior Year) | Bond Amount |
|---|---|
| Under $10,000,000 | $45,000 |
| $10,000,000 – $50,000,000 | $90,000 |
| Over $50,000,000 | $135,000 |
Renewal — Mortgage Lender
| TN Loan Origination Volume (Prior Year) | Bond Amount |
|---|---|
| Under $10,000,000 | $100,000 |
| $10,000,000 – $50,000,000 | $200,000 |
| Over $50,000,000 | $300,000 |
Mortgage Loan Servicer (Renewal)
| License Type | Bond Amount |
|---|---|
| Mortgage Loan Servicer (flat, all renewals) | $200,000 |
24-Month Post-Termination Tail
Tennessee requires the bond to be maintained for not less than 24 months following the expiration, revocation, suspension, or surrender of the license. Immediately upon recovery on any action on the bond, the licensee must file a new bond. Apply now or call (800) 373-2804.
Tennessee Licensing Requirements
Key Bond & Licensing Requirements
Tennessee's Residential Lending, Brokerage, and Servicing Act covers a broad range of mortgage activities including first and second lien, reverse mortgages, and loan modifications.
Dept. of Financial Institutions
The obligee is the State of Tennessee through the TDFI Commissioner. Phone: (615) 741-2236. The bond must be issued by a bonding company qualified to do business in Tennessee.
TCA Title 45, Chapter 13
Bond requirements under TCA § 45-13-204. Licensing under § 45-13-201. Detailed bond renewal schedule in Tenn. Comp. R. & Regs. 0180-17-.08. Broad scope: first/second lien, reverse, HELOCs, modifications.
Net Worth Per Location
$25,000 tangible net worth for headquarters plus $25,000 per branch office in Tennessee. Financial statements must be compiled, reviewed, or audited by a CPA. Qualifying individual: 3 years experience.
NMLS Electronic Filing
All bonds are filed as Electronic Surety Bonds (ESB) through the NMLS. The TDFI administers all mortgage licensing through the NMLS platform. FBI criminal background checks required for all managing principals and sponsored MLOs.
24-Month Bond Tail
Bond must be maintained for 24 months after license termination. Immediately upon recovery on the bond, the licensee must file a new replacement bond. Licenses expire December 31 annually.
Consumer Protection
What Does This Bond Protect Against?
The Tennessee mortgage broker surety bond is payable to the State for the benefit of any person injured by the licensee. The bond covers:
Wrongful Acts & Default
Any wrongful act or default committed by the licensee in connection with its mortgage brokering, lending, or servicing activities in Tennessee.
Fraud & Misrepresentation
Acts of fraud or misrepresentation by the licensee, its employees, or its sponsored mortgage loan originators that cause financial injury to consumers.
MLO Coverage
The bond provides coverage for each mortgage loan originator sponsored by the licensee, with the penal sum reflecting the dollar amount of loans originated as determined by the Commissioner.
Broad Scope Coverage
Protection extends across all covered activities: first and second lien mortgages, reverse mortgages, home equity, lead generation, foreclosure consultation, loan modifications, and servicing.
How It Works
Get Your Tennessee Mortgage Broker Bond in 4 Steps
Surety One makes obtaining your Tennessee mortgage broker surety bond fast and straightforward. Most bonds are issued the same business day.
Apply Online
Complete our mortgage bond application online or call us at (800) 373-2804. There's no cost and no obligation.
Get Your Quote
Our underwriters review your application and provide a competitive premium quote, typically within hours. We work with all credit profiles.
Purchase & Sign
Accept your quote, complete the indemnity agreement, and pay your premium. We prepare the bond in the form approved by the Commissioner.
Filed via NMLS
Surety One files your Electronic Surety Bond through the NMLS. Your bond immediately satisfies the licensing requirement for your Tennessee application.
Understanding Your Premium
How Is My Premium Determined?
Your premium — the actual amount you pay — is a percentage of your required bond amount. You do not pay the full bond amount. Your rate is individually determined through underwriting review.
| Underwriting Factor | How It Affects Your Premium |
|---|---|
| Required Bond Amount | Your license type and TN loan volume determine the bond ($45K–$135K brokers, $100K–$300K lenders, $200K servicers). Higher amounts result in higher premiums. |
| Personal Credit Score | Your FICO score is a primary factor. Stronger credit profiles generally qualify for lower premium rates. |
| Financial Statements | Given TN's high bond amounts, personal and business financial statements are typically required for underwriting, especially for lender and servicer bonds. |
| Industry Experience | TN requires qualifying individuals with 3 years of experience. Your professional history may further influence underwriting terms. |
| Claims History | Any prior surety bond claims or regulatory actions may influence the terms offered. |
Every Applicant Receives a Personalized Quote
Because premiums are individually determined, the only way to know your exact cost is to apply. Surety One provides free, no-obligation quotes — and we decline no application. We offer non-standard programs for applicants with impaired or limited credit. Apply now or call (800) 373-2804 for your personalized quote.
Common Questions
Tennessee Mortgage Broker Bond FAQ
New TN brokers need a $90,000 bond; new lenders/servicers need $200,000. At renewal, brokers range $45K–$135K and lenders $100K–$300K based on TN volume. Your premium is a percentage of the required amount, individually determined by credit and underwriting review. Apply for a free, no-obligation quote from Surety One.
The Tennessee Department of Financial Institutions (TDFI) requires the bond under TCA § 45-13-204 and Tenn. Comp. R. & Regs. 0180-17-.08. The bond must be issued by a bonding company qualified to do business in Tennessee. It is filed electronically through the NMLS.
No. Combination licensees (broker + lender and/or servicer) only need one surety bond at the highest required amount. For example, a broker/lender would carry a single $200,000 bond (the lender amount) rather than separate $90,000 and $200,000 bonds.
Tennessee requires the bond to be maintained for not less than 24 months following the expiration, revocation, suspension, or surrender of the license. This two-year tail ensures continued consumer protection even after the licensee ceases operations.
Tennessee requires a tangible net worth of at least $25,000 for the headquarters location, plus an additional $25,000 for each branch office in Tennessee. Financial statements must be compiled, reviewed, or audited by a CPA. The qualifying individual must have at least 3 years of industry experience.
Yes. Surety One declines no application. Given Tennessee's high initial bond amounts ($90K brokers, $200K lenders), our non-standard programs are especially valuable. Premium rates will be higher for non-standard credit, but we work to find terms that fit each applicant's situation.
Immediately upon recovery on any action on the bond, the licensee must file a new bond to fulfill the statutory requirements. Failure to maintain the required bond can result in license suspension or revocation. Surety One can issue replacement bonds quickly to maintain your compliance.
Tennessee's license requirements cover a broad range of activities: first and second lien residential mortgages, high-cost home loans, home equity financing, reverse mortgages, lead generation, manufactured home finance, mortgage modifications, foreclosure consultation, and servicing.
The Surety One Advantage
Why Choose Surety One, Inc.?
Surety One is a national surety leader specializing in the bonding needs of mortgage professionals across all 50 states, Puerto Rico, and the U.S. Virgin Islands.
TN High-Amount Specialists
Tennessee's bond requirements reach $300,000 for high-volume lenders. Our underwriters specialize in high-amount mortgage bonds and know the TDFI filing process inside and out.
Same-Day Issuance
Most Tennessee mortgage broker bonds are issued the same business day. Our 24/7/365 underwriting team provides guaranteed same-day feedback on every submission.
A+ BBB Rated
Surety One carries an A+ rating with the Better Business Bureau in both our U.S. and Puerto Rico offices, reflecting our commitment to client satisfaction and ethical practices.
All Credit Accepted
We decline no application. Given TN's high initial bond amounts, our non-standard programs are critical for applicants who may face challenges with other surety providers.
Multi-State Expertise
Operating in multiple states? We streamline your bonding across all 50 states with a single point of contact, ensuring compliance with each state's unique requirements.
Free Quotes, No Obligation
Application review and quoting are always free. There is no obligation to purchase. Contact us by phone, email, or live chat to explore your options.
